Birla Corporation on Tuesday said commissioning of its Rs 2,450-crore Mukutban cement plant, which has been delayed due to the COVID-induced disruptions, is expected by December.
Due to flight of migrant workers from the project site, the commissioning of the Mukutban factory in Maharashtra has been delayed by a few months, the company informed shareholders in its annual report.
"Mechanical erection work is progressing well. Most of the equipment reached the site. Commissioning of the project got delayed due to lockdown and uncertainty created by the raging second wave of COVID-19. The factory is now expected to be commissioned in December," an official said.
The project proposes a 3.90-million tonne integrated cement factory with a 40 MW captive power plant and 10.60 MW waste heat recovery system.
After the commissioning of the cement plant, the installed capacity of the group will increase to around 20 million tonne.
The MP Birla Group flagship company had invested Rs 644 crore in the Mukutban project in FY'21, the official said, adding that in spite of this fund infusion, the cement maker was able to reduce its debt and interest burden.
However, in the current fiscal, the management expects a slight increase in gross debt level of Rs 4,046 crore as of March 31, 2021.
